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Tax Holiday

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Tax holiday
A reduced tax rate that a government provides as an inducement to foreign direct investment.

Tax Holiday
A temporary suspension of a tax, especially a sales tax. Jurisdictions declare tax holidays at certain times of the year on the theory that doing so will stimulate consumer spending and thereby induce economic growth. Some U.S. states routinely declare tax holidays before school begins each year, for example. Critics of tax holidays maintain that they deprive the jurisdictions of revenue and that their effect on growth is overstated.


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He said that the duty refund scheme will continue till December 2010, while income tax holiday for export-oriented units will be there for one more year.
Louisiana's 2009 Sales Tax Holiday is going to take place from August 7-8, 2009.
 
 
 
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